Ayesha khalil

Strategic Management process

Government college university Fsd

Roll No: 4427

Strategic management in Hr.

Strategic plan A company’s plan for how it will match its

internal strengths and weaknesses with external opportunities and threats in order to maintain a competitive advantage.

Three basic challenges The need to support corporate productivity and

performance improvement efforts.

That employees play an expanded role in employers’ performance improvement efforts.

HR must be more involved in designing—not just executing—the company’s strategic plan.

Mission and Its Vision

Vision

A general statement of its

intended direction that evokes

emotional feelings in organization

members.

Mission

Spells out who the company is,

what it does, and where it’s

headed

Strategic Management Process

Strategic management tasks

Step 1: Define the Business and Its Mission

Step 2: Perform External and Internal Audits

Step 3: Translate the Mission into Strategic Goals

Step 4: Formulate a Strategy to Achieve theStrategic Goals

Step 5: Implement the Strategy

Step 6: Evaluate Performance

The Strategic Management

Process Strategic management

The process of identifying and executing the organization’s mission by matching its capabilities with the demands of its environment.

Strategy

A strategy is a course of action.

The company’s long-tem plan for how it will balance its internal strengths and weaknesses with its external opportunities and threats to maintain a competitive advantage.

Overview of strategic

management

A SWOT Chart

SWOT Analysis

The use of a SWOT chart to compile

and organize the process of

identifying company

Strengths,

Weaknesses,

Opportunities, and Threats.

Types of Strategic Planning

Corporate-level strategy

Identifies the portfolio of businesses that, in total, comprise the company and the ways in which these businesses relate to each other.

Diversification strategy implies that the firm will expand by adding new product lines.

Vertical integration strategy means the firm expands by, perhaps, producing its own raw materials, or selling its products direct.

Consolidation strategy reduces the company’s size

Geographic expansion strategy takes the company abroad.

Business-level/competitive strategy

Identifies how to build and strengthen the business’s long-term competitive position in the marketplace.

○ Cost leadership: the enterprise aims to become the low-cost leader in an industry.

○ Differentiation: a firm seeks to be unique in its industry along dimensions that are widely valued by buyers.

○ Focus: a firm seeks to carve out a market niche, and compete by providing a product or service customers can get in no other way.

Functional strategies

Identify the basic courses of action that

each department will pursue in order to

help the business attain its competitive

goals.

HR and Competitive Advantage

Competitive advantage Any factors that allow an organization to

differentiate its product or service from those

of its competitors to increase market share.

Superior human resources are an important

source of competitive advantage

Thank you